A Conceptual Model for VMI in Reverse Supply Chains

The importance and role of reverse supply chain in gaining competitive advantage has been recognized especially in recent years. However the high costs of implementing and installing these chains works as an impediment for managers. Collaboration as a key to success in supply chains can be a way to decrease the costs and make reverse supply chains economically attractive. This paper proposes a conceptual model for collaboration between reverse supply chains in accordance with VMI in forward supply chains. Firstly a conceptual model is defined by introducing members and assumptions needed for that. Then a collaborative process for collection and routing between members of these chains and a heuristic method using modified tabu search for finding the best routs are defined. Finally an example is solved for some separate reverse supply chains once in the case of isolated chains and then for the collaboration between them in the suggested form of this paper.